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EU urges US to rethink tax breaks in historic green legislation

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Brussels is pressing Washington to reconsider “discriminatory” provisions in its key new green legislation, as concern rises among EU officials that the rules could push European companies to move production to the United States.

Margrethe Vestager, Europe’s competition enforcement officer, said Brussels wants to use a December meeting of the Transatlantic Trade and Technology Council (TTC) as a way to tackle a simmering dispute over new US rules contained in its inflation-reduction law, which It became law in August. She told the Financial Times the hope is that this strategy will yield results faster than legal action through the World Trade Organization.

“In principle, you shouldn’t put this up in the face of friends,” Vestager He said of provisions in America’s new Inflation Reduction Act that offer significant incentives to boost domestic production of electric vehicles and other green technologies. “You have what we see as an unbalanced subsidy.”

EU officials are concerned that the policies contained in the Inflation Control Act discriminate unfairly electric car Produced outside the United States, which amounts to a violation of World Trade Organization rules. The law includes tax credits for electric vehicles made in North America as well as provisions that seek to strengthen the US battery supply chain and its renewable energy sector.

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The tax breaks have raised concerns in other jurisdictions, including South Korea. angry seoul That electric cars made by Hyundai in South Korea will not be able to reach the credits after US President Joe Biden’s visit earlier this year led to expectations that they will be.

EU officials fear that US tax cuts will hurt the EU and urge companies to shift production across the Atlantic, leading to job losses.

While the EU was studying whether the US rulings violated WTO rules, Vestager suggested that action via the Geneva-based organization was not the preferred option. It can take up to a year for a dispute to reach arbitration, and another year for an adjudication. “A lot of good things can be said about the WTO process; she said.

She noted that it is in the interests of both sides to avoid the support race. “They could have a better deal if the support is provided in a way that does not discriminate against the EU,” Vestager added.

Not many details have been worked out in the US legislation yet, and officials in Washington are likely to issue more clarifications early next year. US Treasury Secretary Janet Yellen said members of Congress were also discussing the matter when asked about European concerns in an interview.

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“We’re meeting with a lot of different parties because we need to craft the regulations – these are tax breaks – outlining exactly what businesses need to do to qualify for them,” she told the Financial Times. “So we are engaged in the conversations.”

In remarks Friday at the Roosevelt Institute, a left-leaning think tank, US Trade Representative Catherine Tay said that while both the US and the EU have sought to reduce their carbon footprints, “each of us will do things that cause anxiety.” Tay’s remarks referred to Washington’s Inflation and Terror Act on the EU’s Carbon Limits Adjustment Mechanism, which would levy tariffs on imports from countries that have not yet taxed carbon emissions. But Tay said there is room for common ground. “This also creates an opportunity for us to work together, to address this existential crisis that threatens us all,” she said.

EU Trade Head Valdis Dombrovskis will be in Washington this week and will hold discussions with his US counterparts on the inflation-reduction law expected to appear on the agenda.

The EU hopes at the December TTC meeting is to achieve some “damage control”, rather than force a fundamental change in the law, according to a person with direct knowledge of the talks.

“The WTO is the stick, but the TTC is the carrot,” the person said, adding that this would be the first time since the council was established for it to demonstrate its value as a dispute resolution mechanism.

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The person added that the Commission was conducting a “comprehensive” survey of European companies to determine how many companies could move at least part of their supply chains to the United States because of the tax credits.

The person added: “We want to sit down with the Americans to de-escalate this action and get them to send a quick and public message to companies to stay in the European Union.”

Additional reporting by Harry Dempsey in London and Andy Bounds in Brussels

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What is the ChatGPT policy?

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Rob Lonnie She claims to be a “left-liberal”. David Rosado I applied the political compass test He concluded that ChatGPT is a mixture of left and liberal leanings, eg: “anti-death penalty, pro-abortion, skeptical of free markets, corporations exploiting developing countries, more taxes for the rich, government subsidies, pro-benefits for those who refuse to work, Pro-immigration, sexual liberation, morality without religion, etc.”

Produce this image from the test results:

Rosado also ran several other political tests with largely similar results. However, I would like to stress a few different points. Most of all, I see ChatGPT as “pro-Western” in its perspective, while giving different visions of what this means. I also see ChatGPT as a “discord minimization”, for business reasons but also simply to want to get on with substantive work with a minimum of external fuss. I wouldn’t have built it myself So differently, and note that the bias may lie in the training data rather than any biases of the creators.

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Marc Andreessen has received a number of tweets suggesting that AI engines will host the “mother of battles” over content, censorship, bias, etc. – outside of the current battles on social media.

I agree.

I saw someone ask ChatGPT if Israel is an apartheid state (I can’t reproduce the answer because chat is now broken for me – unfortunately! But try for yourself.). Basically, ChatGPT answered no, that only South Africa was an apartheid country. Not many people will be unhappy with this answer, including many supporters of Israel (Israel’s moral defense, on the one hand, was not weighty enough for many tastes). Many Palestinians will object, for obvious reasons. And what about all those Rhodesians who suffered under their apartheid regime? Are they simply to be forgotten?

When it comes to politics, the AI ​​engine simply cannot win, or even win a draw. However, there is no simple way to keep them out of politics either. By the way, if you get frustrated with ChatGPT wrapping your question, rephrase it in terms of asking them to write a dialogue or speech on a topic, in someone else’s voice or style. Often it will go further in this way.

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The world has yet to realize how powerful ChatGPT is, and thus Open AI can still live in a kind of relative peace. I’m sorry to say that it won’t last long.

the post What is the ChatGPT policy? Debuted marginal revolution.



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China will launch SSE 50 stock index options trading from December 19th

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© Reuters. FILE PHOTO: A Chinese national flag flies outside the China Securities Regulatory Commission (CSRC) building on Financial Street in Beijing, China on July 9, 2021. REUTERS/Tingshu Wang

BEIJING (Reuters) – China’s securities regulator on Friday approved the launch of China Financial Futures Exchange (LON:: 50) stock index options from December 19, the China Securities Regulatory Commission said in a statement on Friday.

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Xi Jinping Hails “New Era” in China-Saudi Arabia Relations

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Chinese President Xi Jinping announced a “new era” in Beijing’s relationship with the Gulf region as he met Saudi Crown Prince Mohammed bin Salman in Riyadh on Thursday and the two sides signed partnership agreements.

In an opinion article published by Saudi media, something He wrote, “The visit will carry forward our traditional friendship, and open a new era in China’s relations with the Arab world, with the Arab Gulf states and Saudi Arabia.”

Before being received in Riyadh by the kingdom’s daily ruler, Xi wrote this Kingdom Saudi Arabia China “respects each other’s sovereignty and development path.” [and] Respect each other’s history and cultural traditions.”

His plane was ceremoniously escorted by Saudi planes before it landed on Wednesday evening for his first visit since 2016. He was received by Prince Mohammed and a guard of honor before he met the prince and his aides on Thursday.

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The three-day visit, which will see the Chinese leader attend an Arab and Gulf summit, comes at a low point in US-Saudi relations after the kingdom led OPEC+ in oil production cuts, prompting warnings from Washington that it might reassess its relations with it. Riyadh.

Saudi and Chinese media reported that the two sides signed a strategic partnership agreement that would see the leaders of the two countries meet every two years. They have also drafted 34 investment deals in sectors including technology and energy.

The deals included a memorandum of understanding between Huawei and the Saudi Minister of Communications to establish a mobile internet at a speed of 10 gigabits per second and a cloud computing facility in the Kingdom, as well as construction deals for 300,000 housing units. Huawei’s business dealings in the West have come under scrutiny over security concerns.

Chinese electric vehicle manufacturer Enovate Motors has also agreed a memorandum of understanding with a Saudi holding company to set up a car factory in the country that will produce 100,000 vehicles annually.

The United States has opposed Huawei’s expansion in the region and recently warned that some sectors of engagement with China could affect cooperation between the United States and Arab countries.

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Washington said it would monitor the visit, which comes months after US President Joe Biden visited Saudi Arabia and told Arab leaders at a summit that the United States would not leave a “vacuum” in the region for China, Russia and Iran to fill.

“We recognize the influence that China is trying to cultivate around the world,” said John Kirby, a spokesman for the US National Security Council, about Xi’s visit. “The Middle East is definitely one of those regions where they want to deepen their level of influence.”

Kirby said that while America did not ask countries to choose between Washington and Beijing, US policies were “more conducive to preserving prosperity and security for countries around the world than those that China exhibits or promotes.”

Despite Biden’s pledge, Gulf officials said the United States, Saudi Arabia’s main security partner and arms supplier, has grown distant as it focuses on other regions. Saudi officials have refrained from playing the role of the two superpowers, saying they want to diversify their foreign relations.

China is already the kingdom’s largest trading partner, while Saudi Arabia is its largest supplier of crude oil. Analysts say that Beijing does not seek to replace the United States in the region, and in no way will it be able to do so, but rather aims to expand its trade and influence.

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Additional reporting by Maiqi Ding

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